Sections 8 and 9 explained: this guide covers what it means, who it applies to, the step-by-step process, documents required, fees, due dates and penalties in India — so you can stay compliant with confidence and avoid costly mistakes.
Section 8 gives the prescribed tax authorities the powers of a court on four matters, the right to inquire whether or not a proceeding is pending, and a power to impound documents with limits. Section 9 treats proceedings before a tax authority as judicial proceedings and tax authorities as civil courts for certain purposes. This article reads both from the Act as enacted and published in the Gazette of India on 27 May 2015.
The prescribed tax authorities have the same powers as a court trying a suit under the Code of Civil Procedure, 1908 on four matters: discovery and inspection, enforcing attendance and examining on oath, compelling production of documents, and issuing commissions. An authority below the rank of Commissioner must record reasons to impound documents and cannot keep them beyond thirty days without approval. Under section 9, a proceeding before a tax authority is a judicial proceeding for the sections the Act names.
Section 8(1): four court-like powers
Section 8(1) says the prescribed tax authorities shall, for the purposes of this Act, have the same powers as are vested in a court under the Code of Civil Procedure, 1908, while trying a suit, in respect of these matters:
| Clause | Power |
|---|---|
| (a) | Discovery and inspection |
| (b) | Enforcing the attendance of any person, including any officer of a banking company, and examining him on oath |
| (c) | Compelling the production of books of account and other documents |
| (d) | Issuing commissions |
Two points for the reader. First, the powers are given to the "prescribed" tax authorities, and "prescribed" means prescribed by rules under this Act, as section 2(8) says. Which authorities are prescribed is dealt with in the Rules of 2015, as notified on 2 July 2015; see our article on rules 4 to 8 and Forms 1 to 5. Second, the clause on attendance names "any officer of a banking company", so bank officers are expressly within the power.
For a person who has received a summons or a request for documents about a foreign account, the steps that follow are not procedural trivia. A legal dispute resolution adviser can help you read the notice and prepare for the appearance.
Section 8(2): inquiry whether or not a proceeding is pending
Section 8(2) says that for making any inquiry or investigation, the prescribed tax authority shall be vested with the powers in sub-section (1), "whether or not any proceedings are pending before it". The power is therefore not confined to a case that has already begun. The Act does not say how an inquiry begins, and this article adds nothing.
Section 8(3): impounding books and documents
Section 8(3) says any tax authority prescribed for sub-section (1) or (2) may, "subject to the rules made in this behalf", impound any books of account or other documents produced before it and retain them in its custody "for such period as it thinks fit". The power is limited to documents "produced before it".
Section 8(4): limits for authorities below Commissioner
Section 8(4) restrains a tax authority below the rank of Commissioner. Such an authority shall not:
- (a) impound any books of account or other documents without recording his reasons for doing so; or
- (b) retain in his custody any such books or documents for a period exceeding thirty days without obtaining the approval of the Principal Chief Commissioner or the Chief Commissioner or the Principal Commissioner or the Commissioner.
The thirty-day period is as enacted. So the two safeguards are: written reasons at the time of impounding, and approval from a senior officer if the papers are to be kept beyond thirty days. The sub-section is silent on what must happen if the approval is not obtained, and this article does not fill the gap. A person whose papers have been impounded should note the date of impounding and keep a list of what was taken.
Section 9(1): proceedings are judicial proceedings
Section 9(1) says any proceeding under this Act before a tax authority shall be deemed to be a judicial proceeding "within the meaning of section 193 and section 228 and for the purposes of section 196 of the Indian Penal Code". The sections are quoted as printed; the Act does not explain them, and this article names no others.
Section 9(2): tax authorities as civil courts for some purposes
Section 9(2) says every tax authority shall be deemed to be a civil court "for the purposes of section 195, but not for the purposes of Chapter XXVI of the Code of Criminal Procedure, 1973". Again, the Act gives no gloss and this article gives none.
The practical message of section 9 is simple. A statement made or a document given in a proceeding under this Act is made in a setting that the Act itself treats as judicial for the named purposes. Accuracy matters. The Act's own provision on a false statement in a verification is in section 52, which our series reads separately.
An example
Vikram Sethi, a resident other than not ordinarily resident, is summoned to produce statements of an overseas bank account. The authority is one of the prescribed tax authorities, so section 8(1)(b) and (c) support the summons and the production order. At the hearing, the officer, who is below the rank of Commissioner, impounds the statements and records reasons. Under section 8(4)(b), he cannot keep them beyond thirty days without the approval of the senior officer named in the clause. Vikram notes the date, asks for a list of the papers taken, and keeps copies of what he can.
The same facts show a link with section 10 on assessment: the material collected through these powers is the material an Assessing Officer may rely on.
Need help with a summons or an impounding of documents?
When a tax authority asks you to attend, produce papers or answer on oath, how you prepare and what you say matters later. Our legal dispute resolution team can help you understand the notice, organise the records and plan the appearance.
Key takeaways
- The prescribed tax authorities have four powers of a court under the Code of Civil Procedure, 1908: discovery and inspection, attendance and examination on oath, production of documents and commissions.
- The powers can be used for an inquiry or investigation whether or not a proceeding is pending.
- Impounding needs recorded reasons if the authority is below the rank of Commissioner, and keeping documents beyond thirty days needs approval from the senior officers named.
- A proceeding before a tax authority is deemed a judicial proceeding for the sections of the Indian Penal Code that section 9(1) names.
- Later Finance Act amendments to sections 8 and 9 must be checked before acting. The Code of Civil Procedure, 1908, the Indian Penal Code and the Code of Criminal Procedure, 1973 are quoted as printed in 2015, and references to the Income-tax Act, 1961 are as printed; check current law and the corresponding provision of the current income-tax law.
Read next
- Sections 6 and 7: tax authorities, jurisdiction and change of incumbent
- Section 10: assessment of undisclosed foreign income and asset
- Rules 4 to 8 and Forms 1 to 5 of the Black Money Rules, 2015
- Black Money Act: undisclosed foreign income, an overview
Disclaimer: Based on the Black Money (Undisclosed Foreign Income and Assets) and Imposition of Tax Act, 2015 as enacted and published in the Gazette of India on 27 May 2015, and on the Rules of 2015 as notified on 2 July 2015, as consulted on 2 October 2026. Later Finance Act amendments, amendment rules and the current income-tax law should be checked. This article is general information, not legal advice; check the official text before acting.